Aramco and SABIC had signed an agreement to build a complex to convert crude oil into direct chemicals and awarded a contract to US engineering group KBR for project management, engineering, and design.

 

The crude-to chemical at Ras al-Khair will convert 400,000 barrels/day (b/d) of oil into chemicals. The project forms part of Sabic’s growth plans and will contribute to realizing Saudi Arabia’s ongoing program to convert more of its crude oil and liquids into chemicals.

 

“Sabic also affirms its commitment to continue developing [COTC] technologies, which contributes to increasing cost efficiencies and value-creation opportunities in the energy and chemical industry on a larger scale. Sabic will launch the COTC project in a joint venture (JV) with its parent Saudi Aramco,” said Abdulaziz bin Salman, Minister of Energy.

 

“The global oil demand would continue growing at a rate of 60 percent over the coming years until 2040,” added bin Salman.